By the Numbers: The Internet of Things (IoT)

Banking on the Internet of Things (IoT)

The industries that are expected to spend the most on IoT solutions in 2018 are manufacturing ($189 billion), transportation ($85 billion), and utilities ($73 billion). Use cases common to all industries, such as connected vehicles and smart buildings, will be nearly $92 billion in 2018.

Use cases common to all industries, such as connected vehicles and smart buildings, will be nearly $92 billion in 2018. Worldwide spending on the IoT is forecast to reach $772.5 billion in 2018, an increase of 14.6% over the $674 billion spent in 2017. It is expected to surpass $1 trillion in 2020.

— International Data Corporation (IDC) Worldwide Semiannual Internet of Things Spending Guide, Dec. 7, 2017.

Industrial Strength IoT

38% of manufacturers are offering IoT-driven products and services, with 48% in the process of developing them. However, only 14% of manufacturers surveyed say they have created go-to-market IoT strategies.

Over the next five years, manufacturers expect that the revenue driven by IoT-based products and services will increase by an average 10% of total company revenue.

— PwC, “Monetizing the Industrial Internet of Things,” July 2017

IoT Slowed by Security?

70% of companies say data security and privacy concerns top the list of challenges that threaten to slow down IoT adoption.

— CXP Group, Digital Industrial Transformation with the Internet of Things, 2017

The North American IoT security market was valued at $136.56 million in 2017, and it is expected to reach $588.31 million by 2023, a compound annual growth rate of 27.56%.

— Orbis Research, North America Internet Of Things (IoT) Security Market, February 2018.

25% or more of identified cyberattacks in enterprises will involve the internet of things, even though the IoT will account for less than 10% of IT security budgets.

— Gartner, Leading the IoT, Gartner Insights on How to Lead in a Connected World, 2017

IoT Accelerated by 5G

The global 5G value chain will generate $3.5 trillion in output and support 22 million jobs in 2035.

The $3.5 trillion figure is larger than the value of today’s entire mobile value chain.

— IHS, “The 5G economy: How 5G technology will contribute to the global economy” January 2017